4. Smart Trading™
What is the IOB Smart Trading System (STS)?
The Smart Trading™ System (STS) consists of many proprietary algorithmic trading strategies to take advantages of the highly volatile crypto markets, and to hedge the existing crypto holdings with both long and short positions.IOB plans to manage its own money based on IOB trading algorithm strategies.Currently, the STS is an integral part of IOB business strategy and tech platform and we only manage our own funds through our Smart Trading™ System.
What trading system have you bought for your Smart Trading System?
IOB does not use any packaged commercial trading systems. With its top management coming with years of high frequency trading (HFT) and quantitative trading totaling billions of dollars in stocks, commodity futures and index futures around the world, IOB develops its own proprietary trading systems consisting of Decision Engines, Order Flow Management, Risk Control and certain proprietary hardware.
What does the STS trade?
IOB plans to trade the most liquid cryptos (top 3 currently) and their futures contracts for its own funds at this point in time. More markets will be added over time when the exchanges and instruments meet our trading criteria.
Who makes the trading decisions on the STS?
IOB STS is 100% automatic. The decisions are made automatically by our Decision Engines. No human will push a buy or sell button on the STS.
How does the STS make trading decisions?
IOB has developed over 12 trading strategies based on 3 proprietary charting systems, quantitative analyses, Sentiment Indicators that combine the in-house software and hardware systems developed in the past 5 years.With the recent investment in Fundamental Capital in Germany and Witee in China, the IOB STS expects to develop the first crypto-specific trading strategies on blockchain platform, managed by the traditional quantitative trading with smart contracts.
What is your average holding period?
They vary greatly. And it’s the nature of the high-performance algo trading. A trade (both entry and exit) can be completed in a few seconds or a position can be held for weeks, even month.
Does it go both long and short?
Absolutely. Shorts (selling high first and buying back low later) are the most fun (and usually the most profitable on our historical trading results).
What are the IOB custom charts?
Without the dedicated fiber-optical data-feeding lines, cryptocurrency trading is only rely on unstable internet connections. Current crypto trading suffers large data packet losses and significant latency that are not suitable for many of today’s institutional trading strategies. We have developed custom charting systems that overcome these problems.
Are they candlestick charts with IOB special indicators?
No. We developed our charting system from ground up. They are specially designed for high-performance quantitative and high frequency trading strategies. It is not constructed with the common price-time elements. Our charting system has the non-server-based trading system in mind with a high-degree of tolerance for data loss and time-stamp inaccuracy.
Will Smart Trading™ manage a hedge fund for outside investors?
Currently, no.
Will Smart Trading™ provide advisory services to other asset managers and investors?
Yes. As a part of our Smart Exchange (SmX™) features.
Are IOB token holders entitled to the Smart Trading™ profits?
Yes. IOB management will declare and distribute Smart Trading™ profits from hedging, arbitraging, and position trading proceeds from time to time as part of the IOB Token Dividend Distribution.
Wait a minute! You make your own trading boxes (hardware) too?
Yep.